Dukascopy - Analytics

    Dukascopy

    485.50 6.00/10
    83% of positive reviews
    Real

    XAU/USD to dive below 1,088

    © Dukascopy Bank SA
    "The technical picture looks pretty bad and U.S. data has been stronger than expected. I don't expect to see any meaningful bounce until we get to around $1,040 and I think some of these sellers know that."
    - ANZ Bank (based on CNBC)

    Pair's Outlook
    XAU/USD tested the weekly S3 at 1,088 for a third time this week on Thursday. This attempt ended with no success for bears and the cross closed slightly above this mark. Friday morning seems to be more loyal towards short market participants, as gold is showing willingness to go lower. In case the precious metal closes around 1,080 today, the focus will then shift substantially to the downside and bears will start targeting the 2010 low at 1,044. On the other hand, several indicators (RSI and Stochastic) assume the metal is oversold and they foresee a recovery in the short and medium-term. 

    Traders' Sentiment
    Positive sentiment with respect to the precious metal is hovering around the 70% mark for a seventh day in a row. Yesterday the portion of long open positions decreased by four percentage points, namely from 74% to 70%.  

    © Dukascopy Bank SA

    To leave a comment you must or Join us


    By visiting our website and services, you agree to the conditions of use of cookies. Learn more
    I agree